Nel ASA’s RSI Plunges to 19 Even as Modular Electrolyzer Promises 60% Cost Cuts
23.06.2026 - 09:01:47 | boerse-global.de
Nel ASA finds itself in a curious paradox: just as it unveils a new electrolyzer platform that could slash project investment costs by 40 to 60 percent, its stock has fallen into deeply oversold territory. The Relative Strength Index hit 19 on Monday, a level that often signals a short-term bounce is brewing. Yet the market remains deeply skeptical.
The Norwegian hydrogen specialist’s new modular system, developed over eight years, is designed to be built directly at the factory. That shift promises to drive the cost of a standard plant well below the industry norm of around $3,000 per kilowatt. Production is already ramping up at Nel’s Herøya facility, with an initial capacity of one gigawatt per year and a longer-term plan to expand to four gigawatts. The timing is propitious: global clean hydrogen capacity is expected to grow roughly 45 percent this year.
At the bourse, however, investors are not buying the optimism. The stock closed at €0.22, having lost nearly a third of its value over the past month alone. In Oslo, shares ended Monday at NOK 2.51, a marginal gain, while the US-listed shares slid more than 3 percent to $0.26. The discrepancy between the two listings underscores the prevailing jitters.
Should investors sell immediately? Or is it worth buying Nel ASA?
Technical analysts are watching the $0.26 level closely. If that support holds, a three-month recovery target of $0.62 is within reach. If it breaks, further losses could follow. The market capitalisation currently stands at roughly $482 million.
The broader picture is complicated by management turmoil. In mid-June, Nel confirmed the departure of its chief executive, who left to lead packaging firm Elopak. Investors are still waiting for a permanent successor, adding to the uncertainty around the company’s strategic direction. Analysts remain cautious, rating the stock an average “Underperform” with a median price target of NOK 2.12, implying roughly 15 percent downside from current levels.
Big banks have marked down their views sharply. Jefferies has a “Hold” rating and a NOK 3.00 target, but Morgan Stanley is at NOK 2.00, Kepler Cheuvreux at NOK 1.90, SEB at NOK 1.60, and DNB at NOK 1.50. The dispersion reflects the high conviction that the company faces headwinds from a broad technology sell-off and persistent doubts about the profitability of large-scale energy projects.
All eyes now turn to the second-quarter results, due on July 15. The report will provide fresh data on order intake, a key gauge of commercial traction, as well as details on scaling up electrolyser production. The hydrogen sector is gradually moving beyond memoranda of understanding into real projects, and Nel now has the tool to prove its cost advantage in practice. Whether that translates into a market revival remains to be seen—but the technicals are screaming for a breather.
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